AYALA-LED Bank of the Philippine Islands’ (BPI) net profit grew 7.4 percent to P66.62 billion last year, driven by strong interest income and partly tempered by higher operating costs and provisions.
BPI told the stock exchange on Monday that revenues rose 14.8 percent year on year to P195.3 billion, with net interest income climbing 16.0 percent to P148.0 billion.
The bank said its average asset base expanded 8.5 percent while net interest margin widened by 28 basis points to 4.6 percent.
Non-interest income grew 11.0 percent to P47.2 billion, boosted by higher fee income from credit cards, insurance and wealth management services, coupled with strong trading gains.
Operating expenses, meanwhile, increased 9.9 percent to P92.1 billion, attributed to higher volume-related costs, manpower expenses and technology investments.
Nonetheless, BPI said its cost-to-income ratio improved to 47.2 percent in 2025, down 209 basis points from 2024 and reflecting robust revenue growth.
The bank said it booked P17.8 billion in provisions, up 168.9 percent from 2024, without giving any reason for the sharp increase given that asset quality was said to remain healthy during the year.
BPI said its non-performing loan (NPL) ratio stood at 2.18 percent, and NPL coverage was 94.9 percent.
Total loans grew 14.7 percent to P2.6 trillion, with broad-based growth seen across all portfolios, led by a 25.8-percent surge in non-institutional loans, while institutional loans also expanded 10.4 percent.
The robust growth in non-institutional loans was led by business banking (up 79.7 percent), credit cards (31.9 percent), and personal loans (28.3 percent).
The bank said total assets in 2025 reached P3.7 trillion, up 10 percent from 2024. Total deposits climbed 8.6 percent to P2.8 trillion, of which P1.7 trillion represented current account savings account (CASA) deposits, yielding a CASA ratio of 60.7 percent.
The loan-to-deposit ratio stood at 92.4 percent for the year.
BPI reported that total equity increased 10.7 percent to P476.6 billion, with an indicative common equity tier 1 ratio of 13.9 percent and a capital adequacy ratio of 14.7 percent, both above regulatory requirements.
Return on equity and return on assets for the year stood at 14.5 percent and 2.0 percent, respectively.
BPI shares on Monday fell P8.20, or 6.61 percent, to close at P115.80 each amid a 0.5-percent drop for the benchmark Philippine Stock Exchange index.
